Internal Customer Service Defined

InternalCSHe laughed at me. I didn’t take it personally since it was just a natural reaction to something I said.

A few years back, I was in a meeting with a group of small business owners who were designing a method of evaluating different companies to win a community customer service award. As we were building the criteria, I talked about the need to include questions about “Internal Customers.”

One of the business owners asked what that meant, and I stated that it addresses co-workers – the idea is that we need to treat co-workers as customers. He laughed and said “that’s the craziest thing I ever heard!”

Maybe the concept was odd to him because he didn’t treat his staff with courtesy, respect, and responsiveness. Or maybe he just didn’t fully grasp my definition of “internal customer.”

The easiest way to think of who is your internal customer is to think of who in your company relies on you. What co-worker, supervisor, direct report, or other personnel rely on you to get their job done? Who relies on you to provide them information, technology, decisions, or answers that allow them to help their customer? Which co-workers do you impact by what you do, how responsive you are, and how you interact with them?

These are the people – the co-workers – that need the same level of respect, quick turnaround, positive attitudes, attentiveness, issue resolution, and general courtesy as your external customer.

Get comfortable with the idea of “Internal Customers.” Who relies on you?

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

I’d like a burger, fries, and some customer service, please…

fast foodIs it too much to ask to get some consistently good customer service from a fast food restaurant?

Well, according to the article McDonald’s customer service push irritates some franchisees, yes, it is too much to ask. Apparently McDonald’s corporate has acknowledged a need to improve its customer service, but some franchisees aren’t too happy. It’s not that the franchisees don’t care about customer service (I’m making a BIG assumption here with some franchisees), but they are first and foremost concerned with profits. And profits are driven by product margins, volumes, and efficiencies, right?

Apparently, McDonald’s corporate is also pushing the Dollar Menu (lower margins) and promoting offerings (such as wraps) that are less efficient to produce at the franchise level.

This issue is actually a microcosm of what a high percentage of businesses have experienced in the last 20+ years with the advent of rapid technological advances. The improvements in technology and ease of market entry for competitors have driven down prices in many industries, negatively impacting gross margins. Also, as customer service have expanded from primarily phone and face-to-face to include social media, smart phones, and other communication vehicles, the process of delivering customer service has become more complex.

So I feel the pain of the McDonald’s franchisee…really…I do. But at some point they need to look at customer service more strategically as a source of retention, additional revenues, upsells, cross-sells, profitability, and long-term viability and growth. If they did, they wouldn’t be focused as much on gross margin concerns. Instead they’d be focused on those things which they control which truly drive long-term client retention and growth. They’d make their own decision to focus more on customer service.

What do you think about the franchisees’ concerns and the state of customer service in fast food restaurants?

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Beat the Worst at Customer Service

badCSThe American Consumer Satisfaction Index was released with its latest findings on customer satisfaction across multiple industries, but if we look at the 15 worst companies in America for customer service, we’re not looking at as many industries as you might think – largely social media, telecommunications, utilities, and the airlines came up short.

In fact, the article The 15 Worst Companies For Customer Service notes that the worst 14 are all from these four industries. Does this mean that customer service is just about the industry, not the company? No, it just suggests that companies in certain industries don’t prioritize customer service.

The Twitter, Facebook, LinkedIns of the world don’t see (or value) how customer service impacts their bottom line. Airlines care about retention, but they haven’t universally seen the financial link between customer service and retention/revenues. Utilities and Telecoms have a legacy of lack of competition, so why provide great customer service if the customer has nowhere to go?

So what’s the common thread? These individual companies don’t see, quantify, value (however you want to describe) the link between customer service and financial success. Either they don’t realize the financial impact of the business they’re losing, or they don’t understand the cost of poor service. Either way, they’re not seeing the link.

So if you care about customer service and you care about your organization, here’s the key point. Before you sing the praises of investing in, focusing on, and striving for great customer service, take the time to identify the true revenue being lost, costs being added, profitability being harmed by poor customer service.

To beat the worst at customer service, start by putting a dollar figure on the benefit of being great at customer service.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Form Great Customer Service Habits

Habits are hard to break…and that can be a good thing…if they’re good habits.

Let’s talk about customer service habits.

Stephen Covey wrote a book on the 7 Habits of Highly Effective People. Dr. Art Markman (as seen recently on Dr. Phil) talks about developing “smart habits” in his new book Smart Thinking. But in the world of customer service, what are great habits? We address the 25 characteristics of people GREAT at customer service in our own book – Am I GREAT at Customer Service?

So let’s take what these three books state to address how to become an habitually great customer service professional:

  • From Covey, begin with the end in mind. Have a vision of individuals and organizations that you’ve patronized that are great at customer service. What makes them great? Is it Chick-fil-A’s consistency, Disney’s attention to detail and the WOW experience, Nordstrom’s personalized service? What about the people, the process, the experience, the facility, the website makes you want to go back? Create that vision before you decide what habits to undertake.
  • In Markman’s book, he talks about the need to identify what habits you want and then filling your life with them, replacing poor habits whenever possible. So what poor customer service habits do you have? Are you disorganized? Do you talk too much and listen too little? Are you impatient? Do you look at the computer too much when engaged with a customer? Find what you do wrong, and replace them with habits that do right by the customer.
  • In our book, we list multiple positive characteristics that you could use to replace those poor habits. For example, organize your e-mails into folders. Get in the habit of asking customers questions upfront when they complain instead of arguing key points. Turn away from your computer when a call comes in or a customer arrives. Proof all e-mails before sending. Smile before you answer the phone. Respond to every voice mail and e-mail within 6 business hours. End all customer conversations by summarizing next steps and timeframes.

Get great at customer service by envisioning what you want to become, identifying your bad habits, and creating good habits to replace them.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

What You Must Know to Keep Your Customers

Bad economies make companies truly focus on good customer service and the importance of customer retention. And when businesses try to retain more customers, they often fall prey to the desire to create a new benefit, institute a new loyalty program, or launch a new customer retention effort which is – in reality – just marketing gone bad.

So instead of suggesting you create some costly initiative, let’s start with creating a common understanding of the knowledge you need to have to best keep your customers:

  • Know why they would leave, and address it. This means, what do they expect from the experience? From the quality of the product or service? From your level of customer service?
  • Know who you want to keep most – and why (typically because of profitability or longer-term impact) – and target more of your efforts on these customers. No company has infinite resources with which to use the most personalized and labor/cost-intensive methods of keeping customers. So you have to know with whom you make the personal visit (high cost touch), and with whom you send the personalized e-mail (low cost touch).
  • Know who’s most at-risk of leaving, and create strategies to keep them. Target, target, target. Don’t spend the same time and energy and money keeping everyone, if you know a certain percentage of customers are almost certainly going to stay with you. And how will you know? Simply ask them, and also look at historical data to identify common characteristics of former customers.
  • Know how to become vital to their day-to-day lives or success. If they can’t efficiently get their job done without your software or research, if they can’t get their need met well without your product, if you are the supplier of something that’s imperative to their daily personal or professional lives, you have significant leverage in retention.
  • Know how to make it easy to become your customer…and more difficult to leave. Is the customer’s signup with your organization a piece of cake? Can a first time customer navigate your organization and your processes/policies as easy as a long-term customer? If so, you’re golden. On the back end of the relationship, you don’t want to make it impossible to leave (then you’re dealing with ethical concerns), but if the customer needs to replace what you provide, and that effort or time (in addition to the effort and time and cost of going to your competitor) are high, they may not make the move.

Know what you need to know to keep your customers.

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Zappos Customer Service – Measure to Make it Great

Want some shoes? Want some great customer service? Many people who answer “yes” to these questions, head to Zappos.com. And although Zappos has a reputation for great customer service, its customer service reputation is not built on hype (although I’m sure there’s some of that) and subjective self-evaluations.

Sustaining great customer service is built on sound business practices, data, decision-making, and a focus on continuous improvement.

In the article A Zappos Lesson in Customer Service Metrics, CRM blogger Ashley Furness details some of the metrics Zappos uses to measure customer service success. Here are four metrics on which a customer service representative’s performance is measured:

  • “Did the agent try twice to make a personal emotional connection?
  • Did they keep the rapport going after the customer responded to their attempt?
  • Did they address unstated needs?
  • Did they provide a “wow experience?”

If you dig deep into why they’re measured, you see that the first three metrics suggest that creating and sustaining a personal connection is important, emotion is important, and being inquisitive is important.

The fourth metric about the “WOW experience” is more difficult to measure. We created a podcast episode on the WOW experience because a WOW experience is not easy to create each time, but it is something that can be somewhat planned. And the WOW experience is also customer-dependent – what might WOW one customer might not WOW the next.

So focus on the first three metrics, and ask yourself, do you create personal connections with customers? Do you sustain them throughout the conversation? Do you see or feel emotion from the customer? And are you asking enough questions to identify and address unstated needs?

Design the WOW, but make sure you consistently deliver on these other keys to customer service success.

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Cloud and Customer Retention

Customer retention becomes a hotter topic every time the economy tanks. Most recently we noted in the early 2000s and starting in early 2009 that businesses were talking more about customer service, loyalty, and retention. That focus increased because the backlog of customers and the levels of disposable income greatly decrease in recessions, so the demand for products/services generally decreases.

As demand decreases, so does either volume or pricing, and thus begins the pinch on profitability. So organizations begin to realize something they forgot – that customer retention initiatives generally provide ROI multiple times that of acquisition initiatives, and to maximize profit, they have to redirect marketing dollars to retention.

With the advent of cloud computing, a new twist on customer retention can be taken. The cloud enables businesses to house the client’s data – using the cloud to hold and backup information so the client doesn’t have that responsibility. But to truly understand how the cloud really enables customer retention to grow, refer back to the 1990s book “The Discipline of Market Leaders.” In that book, the authors note that industry-leading companies typically master one of three key disciplines, Product Leadership, Operational Excellence, or Customer Intimacy.

Customer Intimacy focuses on generating loyalty by knowing your customers so well, having relationships so strong that your customers will stick with you. But don’t view “customer relationships” as some “soft” relationship, and this is where the cloud comes in. Build loyalty by having your products and services become vital to the day-to-day operations of your clients. Build loyalty by becoming integrated with your customers. Build loyalty by using the cloud, cloud computing in particular, or access to (or storage/backup of) client data to fill a need for your client.

To create more loyal clients and build your customer retention, find ways to use the cloud to get your clients housing their data on your systems. Use the Cloud for Customer Retention.

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

It’s Customer Service Week…Do You Know Where Your Customers Are?

You may remember the television commercial that said “It’s 10 o’clock. Do you know where your children are?”

The idea was that there are certain times of the day when you should be acutely aware of what your children are up to and where they are located.

Well this is Customer Service Week, and this is one of those times when you should be acutely aware of where your customers are, what they’re thinking, how at-risk they are of leaving, and who else is trying to make them their customer by stealing them from you. This is also one of those times we need to be aware of where your employees are such as…What is their morale? What are they thinking about the company and the direction it’s going?

This is the perfect time to assemble all of your employees and managers, and have everyone make a personal call or visit or write a card to 3 to 5 customers to convey your company’s appreciation for their business and to ask where are the customers in terms of their perception of your business.

This is also a perfect time for management to model the behaviors they expect of employees by having management show appreciation for staff, having management to recognize those who are “other-focused,” to find ways to motivate the staff, and determine where their employees are in terms of their morale.

It’s Customer Service Week. Do you know where your customers are? Do you know where your employees’ heads are at?

Special note to the grammar police (I apologize for all the sentences ending with prepositions or otherwise incorrectly…we will return to appropriate grammar with the next posting).

:)

Read our New Book – “Ask Yourself…Am I GREAT at Customer Service?” http://www.amigreatat.com/

Listen to our latest podcast episode of “Stepping Up Service” on The MESH Network at http://themesh.tv/stepping-up-service/

Interested in improving your company’s customer service? See more at our new website! http://www.cssamerica.com/

Outsourcing Groupon E-mail Customer Service?

Groupon is toying with the idea of outsourcing some of its e-mail customer service. In a recent wired.com article, Groupon notes that it’s looking to open its own customer service center in India. While it notes that it’s not using an outsourced vendor, the reason for the move is clear – to save money. According to the article, “Groupon shares closed at $4.27 Monday, down almost 84% since the company’s initial offering in November.”

But what might be most interesting about the article is the information shared about the job posting in India. Groupon is looking for “staff with ‘high degrees of empathy, patience, resourcefulness, and web savvy [who can] respond to emails.’” So let’s percolate on this for a minute.

Much of the dialogue in business these days is conducted via e-mail. So to be effective in communicating with customers via e-mail, just as you would via face-to-face or telephone communications, you need to understand what employee qualities would work.

While empathy is vital to great customer service (in outsourcing or otherwise), it’s particularly difficult to convey when communicating via e-mail. To provide good customer service via e-mail, one of the primary qualities is the ability to write, to understand the words you’re using and how the other person would most likely receive them. An employee needs to know how to write in a concise manner, to answer questions specifically, to set expectations. They have to know how to write well.

Whether Groupon adopts this outsourcing philosophy is up to them, but if they (or any other company) wants to provide good customer service via e-mail, they need to look for people who can write in an organized manner, who can personalize in writing, who write with more of a “you” focus than “I” focus, yes – who can convey empathy in writing, and who can convey tone with the written word.

Look for something special in your customer service reps.

Readour New Book– “Ask Yourself…Am I GREAT at Customer Service?”http://www.amigreatat.com/

Listen to ourlatest podcast episode of “Stepping Up Service” on The MESH Networkathttp://themesh.tv/stepping-up-service/

Interested inimproving your company’s customer service? See more at ournewwebsite! http://www.cssamerica.com/

Canceling Internet Service – 8 calls, 5 employees, 5 tweets, 2 phones, and a Partridge in a Pear Tree

Welcome to my nightmare from Saturday. I wanted to cancel internet service at my home, and this is what transpired…

Web Attempt to Cancel

I logged into to my account on the company website to cancel internet service (but keep my television service). The website FAQs said that I could not cancel over the internet, and it provided a number to call.

Call Attempt #1

  • I called a toll free number found on the website.
  • The system stated “I noticed you’re calling from an out of town number,” which seemed odd since it was a toll-free number.
  • It said to press 1 for Los Angeles, 2 for El Segundo, etc. I’m in Charlotte, so I wasn’t expecting the El Segundo reference.
  • The system asked what I was calling about, and I said to disconnect; after I confirmed again that it was to disconnect…I got the proverbial “All of our agents are currently busy” message.
  • After 8 minutes of silence (absolutely no noise, beeps, or music), I hung up.

Call Attempt #2

  • I called the same number and went through the same menu.
  • The call was transferred to a representative after 2 minutes of the menus, and he picked up immediately – whew!
  • Charles introduced himself; I introduced myself.
  • He then said “Is anyone there? I cannot hear anyone. If I don’t, I will be forced to hang up.” After not hearing my repeated statements of “Hello! Charles! Can you hear me?!”, he hung up.

Call Attempt #3

  • I used a different phone (a cell instead of the landline at the house), called the same number and went through the same menu.
  • I received the “All of our agents are currently busy” message.
  • This time I DID get music and a message about every 90 seconds about agents being busy.
  • I held for 26 minutes, and it disconnected me and started beeping…
  • While I was on hold, I tried to do an online chat, and they also said I couldn’t cancel via the web, but they gave me a different number to call to cancel.

Call Attempt #4

  • I called the alternative toll free cancellation number.
  • It sent me through a menu (at least they didn’t ask me about El Segundo…).
  • I received the “All of our agents are currently busy” message.
  • They picked up after 7 minutes, and they could hear me…hallelujah!!!!!!!!!!!
  • I confirmed several items for the representative, and then they all of a sudden couldn’t hear me, so they disconnected me – UGH!!!!

Call Attempt #5

  • I called the alternative toll free cancellation number again.
  • It sent me through a menu again, and I received the “All of our agents are currently busy” message.
  • I Tweeted, they responded within 4 minutes – WOW…Great!
  • Still holding on call #5…
  • They picked up in 6 minutes but couldn’t hear me…I’ve tried 2 different phones (1 AT&T landline and the other Verizon cell), and they couldn’t hear me on the landline, and they both could and could not hear me on the cell.

Call Attempt #6

  • I called the alternative toll free cancellation number again.
  • It sent me through a menu again, and I received the “All of our agents are currently busy” message.
  • I tweeted again but didn’t get a response.
  • After 6 minutes, I finally got through to the 4th rep on my 6th call using my 2nd phone, 2nd phone provider, and 2nd toll free number. She “couldn’t hear me,” and disconnected my call.

It’s interesting that the provider initially responded so quickly to my tweets. When I tweeted that my frustration was about cancellation, they didn’t return the tweet.

I later sent a summary tweet with my concerns, and they did respond and asked me to Direct Message them so they could schedule a call. We did so, and they promised a call in 2-4 hours; the call came 48 hours later.

I returned the call and left a message; they returned my call, and we got it canceled.

Finally Tally

I initiated 8 calls, talked to 5 employees, called 3 phone numbers, used 2 phones, tweeted 5 times, made 2 web attempts (via website and live chat) and now all I have to do is bring their modem to one of their facilities during their hours to cancel their service. I think cancelling their TV service will be next…if I’m willing to go through the hassle again.